The price of Time Squared Corp. stock will be either $73 or $104 at the end of the year. Call options are available with one year to expiration. T-bills currently yield 4 percent.

a.Suppose the current price of Time Squared stock is $90. What is the value of the call option if the exercise price is $85 per share?(Round your answer to 2 decimal places. (e.g., 32.16))

Call option value$b.Suppose the current price of Time Squared stock is $90. What is the value of the call option if the exercise price is $95 per share?(Round your answer to 2 decimal places. (e.g., 32.16))

Call option value$